German flag carrier Lufthansa on Tuesday reported a narrower loss in the first quarter of 2025 and reaffirmed its outlook for the year despite disruptions due to the war in the Middle East and a series of strikes.
First quarter revenue rose by 8% year-on-year to €8.75 billion ($10.3 billion) over the same period last year, while adjusted operating loss narrowed by 15% to €612 million, as the Frankfurt-based company outperformed analysts' expectations.
Net loss shrank by a quarter to €665 million, even as the company faced a number of walkouts by pilots and cabin crews, causing days of cancellations across Germany.
Amid surging oil prices linked to the blockade of the Strait of Hormuz, Lufthansa's kerosene bill is expected to rise by €1.7 billion to €8.9 billion over the full year.
Chief executive Carsten Spohr said the airline intends to offset the figure with higher ticket revenues, improved load factors and cost savings.
"The ongoing crisis in the Middle East, combined with rising fuel costs and operational constraints, poses enormous challenges for the world as a whole, for global air travel, and for our company as well," Spohr said.
"However, we are resilient in our ability to absorb these impacts. This applies both to our above-average hedging against fuel price fluctuations and to our multi-hub, multi-airline strategy, which provides us with greater flexibility in our route network and fleet development."
The company's flight schedule is set to grow by no more than 2%, instead of the 4% originally planned.
Operating profit before exceptional items, or adjusted earnings before interest and tax (EBIT), is expected to exceed last year's figure of €1.96 billion by at least 10%, the company said.
